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Charles Schwab

Charles Schwab Parent Rating

Above Average

Under new but familiar leadership, Schwab Asset Management Solutions maintains its Above Average Parent Pillar rating.

After the former Schwab CEO was named president of parent Charles Schwab Corporation in 2022, Omar Aguilar, a Schwab CIO since 2011, was promoted to CEO while retaining his CIO role. Under Aguilar's leadership, Schwab remains focused on core-oriented strategies: More than 95% of the firm's fund assets under management are in low-cost index products that are suitable for the biggest portions of investors' portfolios. Index-tracking remains are par with the best teams in the business.

Recent strategic initiatives show a desire to grow in an increasingly competitive landscape. Forays into direct indexing—which customizes separate accounts through tax-loss harvesting, values-based requests, or other client preferences—as well as some new launches, such as Schwab Municipal Bond ETF, fit the firm's strategic focus and are natural extensions of its capabilities. However, other recent launches in more-niche asset classes, including Schwab Crypto Thematic ETF, contrast previous refusals to enter trendy markets.

Schwab benefits from its association with its parent's brokerage business. This arrangement and efficient operation allow funds to grow quickly and keep fees in line with larger competitors. Historically, Schwab has been quick to match competitor fee cuts and now sports a 0.09% asset-weighted average fee across its mutual funds and ETFs.

Charles Schwab Investments

Market

US Open-end ex MM ex FoF ex Feeder

Total Net Assets

185.46 Bil

Investment Flows (TTM)

8.18 Bil

Asset Growth Rate (TTM)

5.77%

# of Share Classes

61
Morningstar Rating # of Share Classes
3
13
34
11
0
Not Rated 0

Exchange-Traded Funds

See All Charles Schwab ETFs

Market

US ETFs

Total Net Assets

349.62 Bil

Investment Flows (TTM)

20.77 Bil

Asset Growth Rate (TTM)

7.08%

# of Share Classes

30

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